Background

In 2009, the City purchased two residentially-zoned properties located at 706 and 716 McVey Avenue as a staging area for the Lake Oswego Interceptor Sewer (LOIS) project. The LOIS project was completed in the spring of 2011, and in November 2011 the City Council held a work session on the disposition of the properties and directed staff to consider options to sell the properties. On July 10, the City Council approved moving forward with the sale of the city-owned residential properties at 706 & 716 McVey Avenue. The two parcels were offered through a sealed bid auction process with a minimum reserve price of $550,000 (for both parcels), with sealed bids due in August. Council-authorized negotiations with a below-threshold bidder did not result in a transaction.